Here are 16 things to know about Tenet’s Q1:
Ambulatory care
1. Net operating revenues hit $455 million, up 6.1 percent from the first quarter of fiscal year 2016.
2. Adjusted EBITDA was $153 million, up from $136 million the same quarter 2016.
3. Same-facility system wide revenue jumped 6.1 percent — cases were up 0.5 percent and revenue per case rallied 5.6 percent.
4. In the first quarter, same-facility system-wide cases increased 2.4 percent when excluding patients Humana insured.
5. Tenet and its subsidiaries operated 470 outpatient centers, 20 short-stay surgical hospitals and 80 general acute care hospitals as of March 31.
Hospital operations
6. Net operating revenue was approximately $4.12 billion, a 6.4 percent drop from the first quarter of 2016. The drop was mainly due to Tenet divesting its hospitals and other operations in Atlanta in April 2016 and not being able to record revenue under the California Provider Fee Program in the first quarter of 2017.
7. Adjusted EBITDA totaled $309 million, down from $109 in the same period last year.
8. In the first quarter, Tenet’s health plan business had $16 million losses. It had a positive EBITDA of $3 million.
Full company
9. Net losses were $52 million, an improvement from $55 million in the first quarter last year.
10. Adjusted EBITDA totaled $527 million.
11. Tenet had $572 million in cash and cash equivalents in the first quarter, less than $716 million in the same period of 2016.
2017 deals
12. Tenet and Humana reached a multiyear agreement in 2017. Under the deal, Humana will phase all of Tenet’s hospitals, hospital-affiliated outpatient centers and employed physicians into its network between June 1 and October 1. USPI facilities will join the network on June 1.
13. The company updated its call agreement with Welsh Carson Anderson & Stowe regarding its USPI ownership. The updated agreement will have Tenet own 80 percent of USPI on or before July 3. Tenet currently owns 56.3 percent.
2017 outlook
14. For the full year, Tenet expects revenue to fall between $19.7 billion and $20.1 billion.
15. The company anticipates net income from continuing operations attributable to Tenet common shareholders to be between $71 million and $95 million.
16. Tenet expects adjusted EBITDA to fall between approximately $2.53 billion and $2.63 billion.
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